Photo Credit: Thibault Penin
In the face of slowing subscriber gains for streaming services in the US, Spotify plans to raise its subscription prices in countries across Europe and Latin America as early as June. The news comes from the Financial Times, citing people familiar with the situation.
Since increasing its monthly price in the US just last July, Spotify lost a bit of ground against Apple Music in 2024. Indeed, music distributor Believe noted that major streaming platforms overall had shelved plans for further price increases, particularly in the US, based on slowing subscriber growth.
Spotify has already started raising prices again in some regions, including the Netherlands and Luxembourg. But the broader push will intensify this summer, according to those familiar with the matter. The move comes as the recent period of rapid expansion in the music industry begins to wane, with global revenue growth halving in the sector last year, according to IFPI.
Streamers have also considered offering early access to concert tickets for those who pay for an extra-super-premium subscription tier, according to sources. Other companies besides Spotify that have been eyeing an advanced subscription tier include Apple Music, Amazon Music, and YouTube Music.
Some of the buzz around new subscription tiers stems from Universal Music Group CEO Lucian Grainge introducing the term “Streaming 2.0” at a capital markets day back in September. “We believe that the value will grow enormously,” Grainge told investors. Streaming companies view this “Streaming 2.0” as the next phase of their services, in which pricier premium tiers contain (niche) content focused predominantly on “superfans.”
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Spotify Pushing Ahead with More Price Increases This Summer—But Not in the US, Says Latest Intel – Digital Music News
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